TrendFlex as a Momentum Indicator and the Need for Parameter Testing
Summary
TrendFlex is described as an extended version of the Reflex indicator, introduced in an article by John Ehlers. The background given is that Reflex was designed as an averaging calculation intended to reduce lag and produce signals sooner than other lagging calculations. TrendFlex is characterized here as a momentum-like indicator, suggesting that it should be interpreted in that role rather than as a complete trading system.
The note cautions that the default parameter setting is relatively long and recommends experimenting with settings before using the indicator to make trading decisions. It gives no formula, chart, test results, market examples, or rules for converting readings into entries and exits. The claimed timing advantage is attributed to the indicator's original author, but this brief description does not provide evidence that it improves performance or remains useful across instruments and market conditions. Any use would require independent evaluation, including attention to parameter sensitivity and the risk of fitting settings to past data.
Key ideas
- TrendFlex is presented as an extension of the Reflex indicator.
- The cited motivation for Reflex is reducing lag in an averaging calculation.
- The note frames TrendFlex as a momentum-like indicator.
- Its default setting is described as relatively long, so parameter experimentation is advised.
- The document provides no formula or empirical performance evidence.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.